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April 28, 2009

 

Cost of Living Adjustment (COLA) for Indiana’s

Retired Teachers Clears Final Legislative Hurdle 

H.B. 1498 Passes House of Representatives By a Vote of 87 to 0 

INDIANAPOLIS – The President of the Indiana Retired Teachers Association (IRTA), Eugene Wease, announced that House Bill 1498, which will provide a cost of living adjustment (COLA) for Indiana’s retired teachers, cleared its final legislative hurdle today.  H.B. 1498 passed the Indiana House of Representatives by a vote of 87 to 0.  The bill was amended in the Senate from its original form by providing a “one time payment.”  H.B. 1498 author Representative Bill Ruppel filed a concurrence motion stating that he agreed with the Senate change, and the concurrence passed the House of Representatives today.  The bill now goes to the Governor for his signature. 

Under H.B. 1498, the one time payment, to be received before October 1, 2009, would be as follows:  If a member’s creditable service is at least 30 years the amount of the check is $450.  Those with at least 20 years but less than 30 years will receive $375.  Those with at least 10 years but less than 20 years will receive $275.  Those with at least 5 years but less than 10 years, and only if the member is receiving disability retirement benefits, will receive $150. 

The original COLA proposal was introduced by Representative Dennis Avery (D-Evansville) at the request of the Indiana Retired Teachers Association (IRTA).  When H.B. 1022 died in the Indiana House, the COLA language was amended into H.B. 1498, authored by Rep. Bill Ruppel (R-N. Manchester).  H.B. 1498 passed the House Ways and Means Committee on February 19 by a vote of 210.  Representatives David Niezgodski (D-South Bend), Randy Truitt (R-W. Lafayette) and Terry Goodin (D-Austin) co-authored the bill.  H.B. 1498 then passed the Indiana House on February 25 by a vote of 91–0.  H.B. 1498 then passed the Senate Committee on Pensions and Labor on March 26 by a vote of 92 with Senate sponsors Senators Dennis Kruse (R-Auburn), Karen Tallian (D-Portage), Randy Head (R-Logansport), and Gary Dillon (R-Pierceton).  Senate Appropriations Chairman Luke Kenley (R-Noblesville) introduced the “one-time payment” amendment because of the poor economic condition in Indiana and the amended bill passed his Committee by a unanimous vote of 110.  H.B. 1498 then passed the full Senate by a vote of 50–0 on April 15, 2009. 

The bill now goes to Governor Mitch Daniels for his signature.  The last day for the 2009 General Assembly is April 29, 2009.

 

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